Auto-Renewal Subscription with No Price Lock

What it is

Your Calm subscription renews automatically each period and Calm can charge you whatever the current price is at renewal, not necessarily the price you originally paid, unless you cancel at least 24 hours before the renewal date.

Why it matters (compliance & governance perspective)

The authorization to charge the 'then-current price' at each renewal means Calm can increase the subscription price between billing cycles, and users are responsible for monitoring price change notices sent to their email address on file.

Consumer impact (what this means for users)

Users who set up a recurring subscription authorize Calm to charge them at the prevailing price each cycle, which may be higher than the initial rate; failure to cancel at least 24 hours before renewal results in a charge for the full next period with no refund available under the default policy.

What you can do

Institutional analysis (Compliance & governance intelligence)

REGULATORY LANDSCAPE: California's Automatic Renewal Law requires clear disclosure of automatic renewal terms, the cancellation policy, and any price changes before a consumer is charged, and mandates affirmative consent to renewal terms at sign-up. The FTC's rules on negative option marketing require clear and conspicuous disclosure of recurring charge terms. Several other states, including New York, Illinois, and Delaware, have enacted automatic renewal statutes that impose similar or additional requirements. The combined effect of the auto-renewal authorization, 24-hour cancellation window, and no-refund default may require evaluation under these frameworks. GOVERNANCE EXPOSURE: Medium. Auto-renewal provisions are standard in subscription-based digital services. However, the absence of a price lock combined with advance email-only notice of price changes (rather than in-app consent at renewal) creates potential compliance exposure under state automatic renewal laws that require affirmative consent to materially changed terms before charging. JURISDICTION FLAGS: California residents have the strongest statutory protections against automatic renewal practices; any material price change would require re-disclosure and potentially fresh affirmative consent under California law. The FTC's Negative Option Rule, as updated, may impose additional pre-charge disclosure obligations. International users outside the EEA may also have local consumer protection rights that override the no-refund and auto-renewal terms. CONTRACT AND VENDOR IMPLICATIONS: Payment processors and app store platforms through which Calm subscriptions are purchased (Apple App Store, Google Play) have their own renewal and refund policies that may provide users with additional rights not present in Calm's Terms. The Terms acknowledge this by noting that third-party store purchases require cancellation through the relevant third-party. COMPLIANCE CONSIDERATIONS: Calm's consent capture mechanism at the time of subscription enrollment should be audited to confirm it meets the 'clear and conspicuous' standard under applicable automatic renewal statutes. Price change notification processes should be reviewed to confirm advance notice timing, delivery method, and whether the notice constitutes adequate disclosure under state law requirements. The 24-hour cancellation window before renewal should be assessed against any statutory minimum notice periods required in applicable jurisdictions.

Applicable agencies

Provision details

Other risks in this policy

• Mandatory Individual Arbitration and Class Action Waiver high
• Liability Cap (US$50) medium
• User Content License medium
• No-Refund Default Policy medium
• Broad User Indemnification medium
• Age Eligibility and Parental Responsibility medium